Pfizer Inc (PFE)
Interest coverage
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 3,213,000 | 12,226,000 | 24,152,000 | 33,157,000 | 35,939,000 | 34,360,000 | 33,228,000 | 28,461,000 | 25,124,000 | 22,295,000 | 15,619,000 | 12,895,000 | 10,978,000 | 7,698,000 | 17,367,000 | 17,609,000 | 18,183,000 | 18,775,000 | 12,129,000 | 12,455,000 |
| Interest expense (ttm) | US$ in thousands | 2,209,000 | 1,834,000 | 1,450,000 | 1,235,000 | 1,239,000 | 1,242,000 | 1,256,000 | 1,279,000 | 1,293,000 | 1,324,000 | 1,344,000 | 1,395,000 | 1,449,000 | 1,517,000 | 1,581,000 | 1,603,000 | 1,574,000 | 1,529,000 | 1,430,000 | 1,367,000 |
| Interest coverage | 1.45 | 6.67 | 16.66 | 26.85 | 29.01 | 27.67 | 26.46 | 22.25 | 19.43 | 16.84 | 11.62 | 9.24 | 7.58 | 5.07 | 10.98 | 10.99 | 11.55 | 12.28 | 8.48 | 9.11 |
December 31, 2023 calculation
Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $3,213,000K ÷ $2,209,000K
= 1.45
Pfizer Inc.'s interest coverage ratio has shown a strong trend of improvement over the past eight quarters, indicating the company's ability to comfortably meet its interest obligations from its operating profits. The ratio has significantly increased from 8.68 in Q4 2022 to 42.85 in Q1 2023, reflecting a substantial enhancement in the company's financial stability and creditworthiness. This upward trajectory is a positive sign for investors and creditors, as it suggests a lower risk of default due to the company's solid ability to generate enough earnings to cover its interest expenses. Overall, Pfizer Inc.'s interest coverage has exhibited a robust performance, showcasing sound financial health and efficient management of debt obligations.
Peer comparison
Dec 31, 2023